Evergrande New Energy Vehicle, the automaker’s offshoot of Chinese real estate developer Evergrande Group, appears to be still in trouble and could be taken over by another automaker. Meanwhile the first supplier is already demanding full payment before delivery, according to local media reports.
The Evergrande NEV started the pre-sale of the Hengchi 5 on July 6, with only one version being offered at a subsidized price of RMB 179,000 ($26,690).
Evergrande NEV said that the first 10,000 vehicles will be completed in the first quarter of 2023.
Evergrande NEV only produced about 200 units of the first Hengchi 5 model more than half a year after the start of production and will now have to stop production from August 18 due to spare parts supply.
The supplier was reluctant to work with Evergrande NEV and demanded that they pay the bill in full upfront. The Evergrande NEV is likely to be acquired by another automaker in a move led by the Chinese government.